ADMS 3510 Lecture Notes - Mutual Fund Fees And Expenses, Net Asset Value, Systematic Risk

• School: York University
• Department: Administrative Studies
• Course: ADMS 3510
• Professor: Rebecca Jubis

Document Summary

Pooled diversification modest investment average investor professionally managed portfolio. Most funds barely keep up with market high management fees: % of assets charged annually to manage the fund. Example: fund return is 10 less management fee 2% return =8% 2 v note the differences between management fees and mgt expense ratio. Includes management fee plus other transaction costs such as commission when buying plus selling. Closed-ended (mutual fund traded on stock exchange like shares: open end funds (mutual funds) Etf exchange traded fund-- a security that tracks an index that is traded on a stock exchange. 3 unit holders of a funds own the mutual fund similar to common shareholders. Price is determined by net asset value (nav) calculated end of day. Total current market value of all the stock in funds - liabilities. Back-end load commission paid when shares sold.